By Our Correspondent
BHUBANESWAR/ NEW DELHI/ANGUL: Since 54% of the country’s entire coal resource of 319 billion tonne would remain under its control as also having an edge over other companies with ready mechanism for quality and timely supplies, Coal India Limited doesn’t view commercial mining as competition.
CIL chairman and managing director Pramod Agarwal said “Commercial coal mining is not going to adversely impact the production or profitability of the company. Key issues which will help improve to stay ahead of the competition include uniform quality of coal, cost efficiency in production and reliable timely delivery schedule.
Introduction of higher degree of mechanised mining and increased supplies are other focus points. The company is confident of retaining its flagship position as the country’s leading coal producer, notwithstanding the opening up of the coal sector to private players for commercial mining.”
He allayed apprehension that the entry of private entrepreneurs in commercial coal mining operations may shrink CIL’s role. He said “Commercial mining complements our efforts in shoring up the country’s indigenous coal output. It would not unsettle us.”
Coal India Limited subsidiary Mahanadi Coalfields has laid out an investment plan of inr 60,000 crore in Odisha, of which INR 31,000 crore will be spent on mining and social infrastructure development by 2023-24. With investment in acquisition of land for three new mine, develop and operate projects at Siarmal 50 million tonnes per year in Ib Valley coalfields, Subhadra 25 million tonnes per year and Balbhadra North 10 million tonnes per year in Talcher coalfields, as well as expansion of existing ones, the company has set a target to increase its coal production capacity to 300 million tonne.
In order to increase capacity building of new and expansion of existing projects, the company would invest in procurement of HEMMs. Besides, it will invest INR 11,363 crore for setting-up of a 1600 MW super critical thermal power plant in Sundergarh district.
The investment in strengthening coal evacuation infrastructure like doubling of 53-km-long Jharsuguda-Sardega railway line with a flyover at Jharsuguda railway station and construction of 12 Rapid Loading Systems, aims at supplementing the increased coal production.With the help of State Government, the company has planned to create social infrastructure like roads, flyovers, parks, etc under its command area in Sundargarh, Jharsuguda, Sambalpur and Angul districts.
Coal India Limited has identified 15 mining projects that would be operated through mining operators cum developers under its new strategy to expand production. Among the 15 identified mines, 12 blocks are open cast and three underground. Combined, the mines have a total targeted capacity of around 168 million tonnes per year. While the open cast projects have a targeted capacity of 162 million tonnes per year, underground projects add up to the rest close to six million tonnes per year. The contract period would be for 25 years or life of mine whichever is less.
CIL will engage MDOs of international repute, having modern technology through open global tenders, who will excavate, extract and deliver coal to the coal companies of CIL as per the approved mining planCoal India has devised a transformative plan to engage mine developer-cum-operators in its mines as it looks to increase its output and reduce dependency
Three States including Maharashtra ruled by Shiv Sena , Chhattisgarh by Congress and Jharkhand’s JMM have already opposed Commercial Coal Mining in their States since Prime Minister Narendra Modi announced auction of 41 Blocks on June 18. Out of the total 41, 10 Coal Mines Blocks put for Auction in Odisha. Most of these Blocks belongs Angul-Talcher coal Belt, close to Satkosia and Similipal Tiger Reserves.
The mines are Chendipada I, Chendipada II, Machhakata, Mahanadi, Radhikapur (East), Radhikapur (West), Brahmanbil & Kardabahal, Kuraloi (A) North, and Phuljhari (East & West). Private players like Rungta Mines Limited, Jindal Steel and Power Ltd, JSW Steel-Energy, Essel Mining and Industries Ltd, Hindalco, Tatas, Sesa Goa, Vedanta Industries Ltd, Adani Group, Thriveni Earth Movers Pvt Ltd and global players like Rio Tinto, BHP Billiton, PesBody, Glencore and Vale are among those eyeing on Odisha’s Coal blocks.
